Originally Posted by
v70cat
I will bet that before the end of the year Apple will trade over $640 and VZ will not move very much. Apple will be releasing the new Mac Book, the I Phone 5 and Apple Tv
Not so sure about Apple TV, that TV space is a friggin loser, too competitive, all the big players are struggling to maintain profits.
VZ doesn't have to move much with a 5% dividend yield, but it has moved, from about $26 two years ago where I started buying in to $40+ today. For a long term investor, it's very attractive, minimal volatility (if the market gets crushed by bad news out of Europe, VZ will be FAR more stable than AAPL).
That being said, if you apply a standard 14x P/E multiple (S&P500 average) to conservative projections for Apple's 2014 profits, the share price would be north of $1200. That doesn't factor in some revolutionary new product or profit center like Apple TV, that's based going forward on existing lines.
I've been doing this for 10+ years, managing our money every day. I've done the homework. Have you? Good idea. Doesn't always save you (no guarantees) but it helps.
You want a stock tip? Here's what I've learned the hard way, by losing tens of thousands on the wrong bets. Do NOT buy a stock if you can't wrap your head around the company's business model. If you can't understand how they're going to be profitable, you can't analyze the stock's prospects. If that is the case, no matter what anybody or any TV talking head tells you, buy something you CAN understand.